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CHAPTER III
KIAO-CHAU

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Kiao-chau, in the Province of Shan-tung, was, as will be remembered, a port marked in the so-called Cassini Convention for the use of the Russian squadron. Its value as a commercial and strategical point d’appui, as well as the greatness of the mineral wealth of Shan-tung, must have been as well known to the Germans as to the Russians.[180] How it happened that Russia forsook this important position, or, more accurately, how Germany succeeded in securing its lease without a protest from Russia, still remains to be explained. It is known, however, that the offers which had been made by China, perhaps in recognition of Germany’s service in the Liao-tung affair,[181] of a docking and coaling station on the southern coast, had been declined by Germany;[182] and also that Germany’s own attempts to secure a point on the Lappa Island near Amoy, and later in Amoy itself, had never materialized. As to Kiao-chau; the desire of Germany for its possession had henceforth been often observed by the Chinese Minister at Berlin,[183] but, for the realization of the desire, either the time was not ripe, or the susceptibilities of Russia had to be considered. Toward the latter half of 1897, however, the German Government seemed to have concluded that a general partition of China was now a likelihood, for which emergency Germany should prepare herself by obtaining a powerful foothold on the littoral. Observe the following statement made, in a retroactive manner, after the lease of Kiao-chau had been acquired, by Herr von Bülow in the Reichstag, on April 27, 1898: “Mention has been made of the partition of China. Such a partition will not be brought about by us, at any rate. All we have done is to provide that, come what may, we ourselves shall not go empty-handed. The traveller cannot decide when the train is to start, but he can make sure not to miss it when it does start. The devil takes the hindmost. … In any case, we have secured in Kiao-chau a strategical and political position which assures us a decisive influence in the future of the Far East. From this strong position we can look on with complacency on the development of affairs. We have such a large sphere of action and such important tasks before us that we have no occasion to grudge other nations the concessions made them. German diplomacy will pursue its path in the East as everywhere else—calmly, firmly, and peacefully. We will never play the part of mischief-maker; nor will we play that of Cinderella.”[184] Before this glorious consummation was reached, Germany must have, it is presumed, made diplomatic efforts to conciliate Russia, and it is in this connection that it is alleged by some that the two Powers then matured between themselves a compromise whereby Germany should not be molested in her possible attempt to seize Kiao-chau at the first opportunity, and Russia, in her turn, should be free to follow the precedent and demand of China a lease of Port Arthur.[185]

However that may be, an opportunity for Germany’s action came when, as is well known, two German Catholic priests were murdered by a mob in the Kü-ye District, in Shan-tung, on November 1, 1897. The late Provincial Governor, Li Ping-hing, who had recently been transferred to Sz-chwan, was suspected of having instigated the crime. The Peking Government at once ordered a strict search for the culprits, and in three weeks the local authorities succeeded in arresting four of the guilty persons.[186] It was too late. Three German men-of-war had arrived at Kiao-chau, about November 17, to be joined later by several others, and landed 600 marines, who seized the Chinese barracks of the port.[187] As the Tsung-li Yamên had received no previous communication from the German authorities regarding the demonstration, it “could only surmise that Kiao-chau had been seized on account of the murder of the German missionaries.”[188] The German Minister at Peking, Baron von Heyking, then presented six demands, including the punishment of the late Governor Li, an indemnity for the murdered, and the preference for German capital and engineers in the future railway and mining enterprises in the Province of Shan-tung—the desire for the lease of Kiao-chau being still veiled—and these demands were, with some modifications, accepted by China. At this time, however, Prince Henry of Germany, whom the Kaiser had bade farewell at Kiel in his celebrated “mailed fist” speech, was on his way to China with his squadron. As soon as he arrived, Baron von Heyking presented the long concealed demand for a lease of the bay and the surrounding promontories of Kiao-chau. In the face of the strong position and forces commanded by Germany, China had no choice but to yield.[189] When she was finally, on March 6, 1898, prevailed upon to sign the Agreement with Germany, the Government of the latter declined to publish anything but its first section containing the use and lease of Kiao-chau,[190] and the contents of its other two sections concerning the railway and mining privileges granted to Germany[191] in the Shan-tung Province, as well as a separate agreement concerning the direct reparation for the crime of Kü-ye, have not, so far as is known, been officially given to the world from Berlin.[192]

The act of Germany was a débâcle, and in the concessions she wrested from China were involved questions of grave importance and far-reaching consequences. In the first place, was not the lease of a commanding port in reality an infringement of the territorial sovereignty of the Chinese Empire? In the second place, how could the preference given to Germany in the future railway and mining operations in one of the richest of the eighteen Provinces be reconciled with the principle of the equal opportunity for the economic enterprise of all nations in China? If the action of Germany could be, as it soon seemed to be, used by other Powers as a precedent, would not the consequences for the cause, to say the least, of the fair treatment and mutual harmony in China of the nations among themselves be disastrous? It is interesting to observe the attitude taken toward this incident by Great Britain, the Power which possessed the greatest interest in insisting upon, as well as strongest power to enforce, the two cardinal principles of the world’s diplomacy in China, namely, the territorial sovereignty of the Chinese Empire and the equality therein of economic opportunity for all nations. Official dispatches of the day clearly indicate that, on the one hand, Germany made efforts to allay the susceptibilities of Great Britain, and that, on the other, the British remonstrances were not only so mollified as to be ineffective, but were also turned in such a direction as only to add to the dangers of the situation. Let us observe how this was done. It was repeatedly declared, during the negotiations between Germany and China, by the German Representatives at Peking and London and by Herr von Bülow himself, that the northern port of Kiao-chau had been chosen for its remoteness, for one thing, from the regions in which England was directly interested; that nothing was being done during the negotiations with China which would be embarrassing to Great Britain; that Germany was raising no objections to the British terms of the Anglo-German loan to China now under consideration; that the management of the new colony would be found to be liberal, for the German Government was convinced that the British system of colonization was the right one; and that the Kaiser and his Government were strong partisans of a good understanding between Germany and England.[193] Beside these assurances from Germany, it is interesting to note that, on December 1, 1897, Sir Claude MacDonald wrote from Peking to the Marquess of Salisbury: “If the German occupation of Kiao-chau is only used as a leverage for obtaining satisfactory reparation … for the murder of the German missionaries, the effect on the security of our own people will be of the best. If, on the other hand, the German object is to secure Kiao-chau as a naval station, under cover of their demands for reparation, it is by no means clear that their acquisition of it will prejudice our interests.”[194] Whether or not this idea was indorsed by the British Government, Sir Frank C. Lascelles, the Representative at Berlin, said to Herr von Bülow, on December 30, “That, so far as he knew, Her Majesty’s Government had raised no objection to the German ships going to Kaio-chau. Should, however, a demand be put forward for exclusive privileges, or should other countries seek to take possession of Chinese ports, it would probably become necessary for Her Majesty’s Government to take steps for the protection of her vast interests in China.”[195] In this last sentence is seen a curse of China’s foreign relations, that is, the idea of the balance of power—a balance between foreign nations on her ground and at her expense. An offending Power would not retrace its steps, and another Power would virtually recognize them by itself demanding counterbalancing rights from China, which might expect other Powers also to follow suit with little regard to her primary rights of sovereignty. Germany could scarcely have felt the force of the British protest which was, indeed, rather directed to China than to Germany. The latter secured what she asked, and made Kiao-chau as free a port as her treaty-tariff system would allow;[196] but German claims to the sole right of railroad and mining concessions in the province were speedily emphasized by the organization of the Schan-tung Eisenbahngesellschaft, with a capital of fifty-four million marks, and also of the Deutsche Bergbaugesellschaft.[197]

The Russo-Japanese Conflict: Its Causes and Issues

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